company background image
IT

GartnerNYSE:IT Stock Report

Last Price

US$275.08

Market Cap

US$22.6b

7D

-3.8%

1Y

71.5%

Updated

22 Jan, 2022

Data

Company Financials +
IT fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance5/6
Financial Health3/6
Dividends0/6

IT Stock Overview

Gartner, Inc. operates as a research and advisory company in the United States, Canada, Europe, the Middle East, Africa, and internationally.

Gartner Competitors

Hackett Group

NasdaqGS:HCKT

US$565.8m

Information Services Group

NasdaqGM:III

US$310.1m

Alphabet

NasdaqGS:GOOG.L

US$1.7t

Adobe

NasdaqGS:ADBE

US$237.9b

Price History & Performance

Summary of all time highs, changes and price drops for Gartner
Historical stock prices
Current Share PriceUS$275.08
52 Week HighUS$369.00
52 Week LowUS$149.74
Beta1.55
1 Month Change-15.50%
3 Month Change-15.23%
1 Year Change71.49%
3 Year Change108.60%
5 Year Change173.55%
Change since IPO8,446.18%

Recent News & Updates

Jan 20
We Think Gartner (NYSE:IT) Can Manage Its Debt With Ease

We Think Gartner (NYSE:IT) Can Manage Its Debt With Ease

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Dec 16

Gartner: A Must-Have Company For Your Watchlist

The company operates in a large market and has a strong competitive positioning. We expect Gartner to continue to grow and improve its profitability. In addition, the company is actively creating value for investors through share buybacks. According to our valuation, the company is trading at a fair price. We add the company to the watchlist and wait for the market to allow buying cheaper.

Dec 14
With EPS Growth And More, Gartner (NYSE:IT) Is Interesting

With EPS Growth And More, Gartner (NYSE:IT) Is Interesting

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Nov 25
Why Gartner, Inc. (NYSE:IT) Could Be Worth Watching

Why Gartner, Inc. (NYSE:IT) Could Be Worth Watching

Today we're going to take a look at the well-established Gartner, Inc. ( NYSE:IT ). The company's stock saw significant...

Shareholder Returns

ITUS ITUS Market
7D-3.8%-6.6%-6.1%
1Y71.5%-9.4%4.2%

Return vs Industry: IT exceeded the US IT industry which returned -9.4% over the past year.

Return vs Market: IT exceeded the US Market which returned 4.2% over the past year.

Price Volatility

Is IT's price volatile compared to industry and market?
IT volatility
IT Average Weekly Movement5.0%
IT Industry Average Movement8.4%
Market Average Movement6.7%
10% most volatile stocks in US Market15.5%
10% least volatile stocks in US Market2.4%

Stable Share Price: IT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: IT's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
197915,600Gene Hallhttps://www.gartner.com

Gartner, Inc. operates as a research and advisory company in the United States, Canada, Europe, the Middle East, Africa, and internationally. It operates through three segments: Research, Conferences, and Consulting. The Research segment offers objective insights and advice on the priorities of various leaders in a range of functional areas of the enterprise through reports, briefings, proprietary tools, access to research expert, peer networking services, and membership programs that enable clients to drive organizational performance.

Gartner Fundamentals Summary

How do Gartner's earnings and revenue compare to its market cap?
IT fundamental statistics
Market CapUS$22.62b
Earnings (TTM)US$703.81m
Revenue (TTM)US$4.54b

32.1x

P/E Ratio

5.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IT income statement (TTM)
RevenueUS$4.54b
Cost of RevenueUS$1.40b
Gross ProfitUS$3.14b
ExpensesUS$2.44b
EarningsUS$703.81m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)8.56
Gross Margin69.26%
Net Profit Margin15.50%
Debt/Equity Ratio757.4%

How did IT perform over the long term?

See historical performance and comparison

Valuation

Is Gartner undervalued compared to its fair value and its price relative to the market?

32.14x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: IT ($275.08) is trading above our estimate of fair value ($186.83)

Significantly Below Fair Value: IT is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: IT's PE Ratio (32.1x) is in line with the US IT industry average.

PE vs Market: IT is poor value based on its PE Ratio (32.1x) compared to the US market (16.5x).


Price to Earnings Growth Ratio

PEG Ratio: IT's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: IT is overvalued based on its PB Ratio (67.6x) compared to the US IT industry average (4.1x).


Future Growth

How is Gartner forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

-13.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IT's earnings are forecast to decline over the next 3 years (-13.2% per year).

Earnings vs Market: IT's earnings are forecast to decline over the next 3 years (-13.2% per year).

High Growth Earnings: IT's earnings are forecast to decline over the next 3 years.

Revenue vs Market: IT's revenue (12% per year) is forecast to grow faster than the US market (9.1% per year).

High Growth Revenue: IT's revenue (12% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if IT's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Gartner performed over the past 5 years?

38.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IT has high quality earnings.

Growing Profit Margin: IT's current net profit margins (15.5%) are higher than last year (5.1%).


Past Earnings Growth Analysis

Earnings Trend: IT's earnings have grown significantly by 38.9% per year over the past 5 years.

Accelerating Growth: IT's earnings growth over the past year (227.6%) exceeds its 5-year average (38.9% per year).

Earnings vs Industry: IT earnings growth over the past year (227.6%) exceeded the IT industry 35.8%.


Return on Equity

High ROE: Whilst IT's Return on Equity (210.4%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Gartner's financial position?


Financial Position Analysis

Short Term Liabilities: IT's short term assets ($2.1B) do not cover its short term liabilities ($2.9B).

Long Term Liabilities: IT's short term assets ($2.1B) do not cover its long term liabilities ($3.8B).


Debt to Equity History and Analysis

Debt Level: IT's net debt to equity ratio (528.6%) is considered high.

Reducing Debt: IT had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: IT's debt is well covered by operating cash flow (52.8%).

Interest Coverage: IT's interest payments on its debt are well covered by EBIT (10.2x coverage).


Balance Sheet


Dividend

What is Gartner current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate IT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate IT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IT's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IT's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure


CEO

Gene Hall (64 yo)

17.42yrs

Tenure

US$12,595,105

Compensation

Mr. Eugene A. Hall, also known as, Gene serves as Chief Executive Officer of Gartner Inc. since 2004. He is Chief Executive Officer of Gartner Consulting, Inc., a subsidiary of Gartner, Inc. Mr. Hall has b...


CEO Compensation Analysis

Compensation vs Market: Gene's total compensation ($USD12.60M) is about average for companies of similar size in the US market ($USD11.47M).

Compensation vs Earnings: Gene's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: IT's management team is considered experienced (4.3 years average tenure).


Board Members

Experienced Board: IT's board of directors are seasoned and experienced ( 14.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: IT insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Gartner, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Gartner, Inc.
  • Ticker: IT
  • Exchange: NYSE
  • Founded: 1979
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Implied Market Cap: US$22.622b
  • Shares outstanding: 82.24m
  • Website: https://www.gartner.com

Number of Employees


Location

  • Gartner, Inc.
  • 56 Top Gallant Road
  • PO Box 10212
  • Stamford
  • Connecticut
  • 06902-7700
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/22 23:19
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.